CBSL: banks to implement EMV chip tech after ATM fraud

Tuesday 5 February 2019 13:42 CET | News

Sri Lanka’s Central Bank (CBSL) has planned to make it compulsory for all banks to achieve EMV chip-technology compliance, after ATM fraud incidents.

CBSL’s governor mentioned that the Central Bank’s Payment and Settlement Division had already issued guidelines to implement EMV chip technology in 2016. This decision came as CNP fraud at ATMs, as well as credit cards/debit cards fraud at ATMs are currently on the rise. However, the bank has not made the implementation of EMV mandatory.

Fraudulent transactions at ATMs since the end of January involved withdrawals between INR 60,000 to INR 80,000 (USD 837.72 to USD 1,116.96).

EMV is a payment method based upon a technical standard for smart payment cards, as well as for payment terminals and automated teller machines that can accept them. Moreover, EMV cards, are smart cards, known also as chip cards or IC cards, which store their data on integrated circuits in addition to magnetic stripes. They include cards that must be physically inserted into a reader, and contactless cards that can be read over a short distance using NFC technology.

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Keywords: CBSL, banks, EMV chip, ATM fraud, Sri Lanka, CNP fraud, credit card, debit card, transactions , withdrawals, NFC
Countries: World